California orders review of AI impact on workers, businesses

California Governor Gavin Newsom has signed an executive order aimed at preparing workers, small businesses, and communities for possible economic disruption linked to artificial intelligence, Qazinform News Agency correspondent reports.

California orders review of AI impact on workers, businesses
Photo credit: Gavin Newsom’s Instagram; AI-edited by Kazinform

The order directs state agencies to study how AI may affect employment, payrolls and business decisions, and to develop tools that can help the state respond to potential labor market changes.

Under the order, California will examine possible policies such as severance standards, employment insurance, transition support for displaced workers, worker ownership models, workforce training and measures to help small businesses use emerging technologies.

The state also plans to prepare a report on early warning signs of labor disruption, develop a dashboard tracking AI’s impact across sectors and review possible updates to the California Worker Adjustment and Retraining Notification Act.

The order calls for stronger cooperation with labor representatives, academic experts, economists, universities and industry leaders. It also includes measures to expand on-the-job training and update workforce programs for changing economic conditions.

California officials say the state’s goal is to ensure that workers and small businesses benefit from AI-related productivity gains, while reducing the risks of job displacement and inequality.

Newsom earlier issued orders and signed measures related to AI use in government, technology transparency, privacy, child safety, AI-generated content and digital likeness protections.

Earlier, Qazinform reported that thousands of residents had been evacuated as a fast-moving wildfire continued to spread across Southern California.

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